MEGUMAGOLD COMPLETES GROUND GEOPHYSICS

PROGRAM AT TOUQUOY WEST PROPERTY

IP SURVEY CHARGEABILITY ANOMALIES AT TOUQUOY WEST, SPATIALLY ASSOCIATED WITH

SOIL GEOCHEMISTRY ANOMALIES, MAY INDICATE THE PRESENCE OF

DISSEMINATED SULPHIDE MINERALIZATION

March 2, 2020

Halifax, Nova Scotia - MegumaGold Corp. (CSE: NSAU, OTC: NSAUF, FWB: 2CM2)

(“MegumaGold” or the “Company”) is pleased to announce the results of an extensive

ground geophysics program on its Touquoy West Property along the Moose River Anticline in

Nova Scotia, that included a high resolution, combined ground magnetometer and VLF-EM

survey completed in late 2019, and an Induced Polarization (IP) survey completed in February

2020.

The Company completed approximately 80 line km of high resolution ground magnetometer and

VLF-EM surveying over the same area as a soil geochemistry program completed by the

Company in early 2019 (Figure 1). Based on the interpreted results of these geophysical

surveys and the 2019 soil geochemistry program at Touquoy West (see Company press

releases dated January 6, 2020, November 29, 2019, and November 20, 2019), the Company

initiated an Induced Polarization (IP) ground geophysical surveying program over grid areas of

highest priority. A total of 25.83 line km of IP surveying was completed over coincident soil

geochemistry and ground magnetometer/VLF-EM anomalies in mid-February 2020. The

purpose of the IP program was to identify areas in which disseminated iron sulphide

mineralization is present in association with folded, highly favourable argillite-bearing

stratigraphic intervals. Disseminated sulphides in the form of pyrite and pyrrhotite are evident in

several prominent Nova Scotia gold deposits such as St Barbara Ltd.’s Touquoy Gold Mine,

Fifteen Mile Stream, Cochrane Hill and Beaver Dam deposits, and Anaconda Mining Inc.’s

Goldboro deposit.

The Company feels that the IP survey chargeability responses detected at Touquoy West,

which are in part spatially associated with existing soil geochemistry anomalies, may indicate

the presence of disseminated sulphide mineralization similar in style to that present adjacent to

the Touquoy Gold Mine deposit, located a few kilometers to the east along the Moose River

Anticline Trend. They therefore constitute high quality targets for a 2020 core drilling program on

the property to assess mineralization potential along the trend and at depth.

MegumaGold President Theo Van der Linde stated, “We are very pleased with the results from

our ground geophysics program on the Touquoy West Property, especially the IP survey results,

that have been interpreted as indicating presence of disseminated iron sulphide mineralization

on the property along the main anticlinal trend that extends continuously northeastward to the

Touquoy Mine area. We look forward to using these results plus those of our soil geochemistry

program to select our 2020 core drilling targets. The purpose of planned drilling will be to

confirm the presence of disseminated sulphide mineralization at depth and to assess potential

for presence of associated gold mineralization.”

Figure 1: Extents of IP Survey and VLF-EM Surveys

Touquoy West IP Survey Results and Interpretation

Combined IP survey and geological compilation program results indicate that a well-developed

chargeability anomaly coincides with the interpreted main anticlinal fold hinge zone trend on the

Touquoy West property. This IP anomaly can be traced discontinuously for approximately 3.6

km across the Touquoy West survey grid and coincides with soil geochemistry anomalies at

several locations along its length (Figure 2). The anticlinal fold hinge zone trend currently

remains open beyond the western grid limit onto exploration licences optioned from Genius

Metals Inc.

A second prominent chargeability anomaly occurs approximately 300 metres north of the main

trend (Figure 2) and has a strike length of approximately 700 metres. This chargeability anomaly

appears to coincide with anomalous 2019 soil geochemistry results and is associated with an

interpreted argillite-bearing stratigraphic interval that may indicate a secondary anticlinal fold

trend.

A third chargeability anomaly west of the detailed survey block has been tentatively correlated

between three survey lines along an 800-metre strike length. This third anomaly parallels the

southern margin of a thick unit of interpreted argillite stratigraphy and is supported locally by

anomalous gold and arsenic soil survey values (Figure 2). Several lesser chargeability targets

have also been identified (Figure 2).

Resistivity anomalies occur peripherally to all three main chargeability anomaly trends and may

mark zones of bedrock silicification associated with mineralization (Figure 3).

Figure 2: IP chargeability survey anomalies with soil geochemistry survey results

Figure 3: Regional soil geochemistry survey and IP resistivity

The Company considers areas of coincident soil geochemistry, magnetometer, VLF-EM and

chargeability anomalism defined to date on the Touquoy West grid as high quality targets for a

2020 core drilling program on the property, with the main anticlinal trend anomaly being highest

in priority, followed by the two anomalous trends further north on the grid that parallel the main

trend.

Technical Notes

The Induced Polarization (IP) survey was completed by Eastern Geophysics Ltd. of West

Pubnico, Nova Scotia between January 13 and February 7, 2020 using a dipole-dipole survey

array (a=25m or a=50m and N=6). IP survey data was processed using inversion methods to

produce interpreted sectional and plan presentations of apparent resistivity and chargeability

responses. Surveying at 100 metre line spacing was carried out for a distance of 1.7 km

westward from the adjacent St Barbara Ltd. claim boundary and broadly spaced lines were

surveyed further to the west over discrete soil anomaly areas.

The combined ground magnetometer and VLF-EM surveys were completed by Mercator

Geological Services Ltd. field staff between July and November 2019. The surveys were carried

out using a GEM system GSM-19 DGPS magnetometer with integrated VLF-EM and GPS

capabilities over 100 metre spaced lines that trended north-south across the main structural and

stratigraphic trends interpreted from existing regional and/or property scale airborne geophysics

surveys. The survey magnetometer measured magnetic field parameters at a frequency of one

reading per second and VLF-EM readings were taken at 20 metre intervals. A second GEM

system GSM-19 magnetometer serving as a base station was time synchronized with the

survey unit to facilitate correction of survey data for effects of diurnal magnetic field fluctuation.

The combined magnetometer and VLF-EM survey results were merged with compiled historical

survey results from the adjacent St Barbara Ltd. Touquoy gold mine and the resulting dataset

was independently processed to maximize definition of stratigraphic trends. These results were

then used to interpret strike extensions of the main argillite-bearing stratigraphic intervals and

anticlinal fold structures that host gold mineralization on the adjacent Touquoy gold deposit onto

the Company’s Touquoy West property (Figures 4 and 5). The VLF-EM results define a

conductivity trend coincident with the faulted axial zone of the main gold-focusing anticlinal fold

in this gold district (Figure 6). This is interpreted to represent the presence of sheared argillite in

the hinge zone of the anticline and can be traced southwestward from the Touquoy gold mine

area for at least 6 km to the western boundary of MegumaGold’s Touquoy West survey grid,

where it remains open. This VLF-EM anomaly is also coincident with a series of magnetometer

survey anomalies that are interpreted as marking favourable bedrock argillite units that extend

onto the MegumaGold property from the adjacent Touquoy deposit.

Figure 4: Compiled ground magnetic survey

Figure 5: Interpreted geology from ground geophysics surveys

Figure 6: Compiled ground VLF-EM survey results

Qualified Person Statement

This press release has been reviewed and approved by Regan Isenor, Chief Executive Officer

of MegumaGold Corp.; and Paul Ténière, M.Sc., P.Geo. of Mercator Geological Services Ltd.,

an “Independent Qualified Person” as defined under NI 43-101, has prepared and approved the

scientific and technical information disclosed in this press release.

References

D.D.V. Gold Ltd., 2015: Report NS AR ME 1020870; NS Department of Mines and Energy

Assessment Report by Mercator Geological Services Ltd.

Seabright Explorations Inc., 1986: Report NS AR ME 1986-131; NS Department of Mines and

Energy Assessment Report by MPH Consulting Ltd.

Seabright Explorations Inc., 1987: Report NS AR ME 1988-115; NS Department of Mines and

Energy Assessment Report by A. Bruce Hudgins.

About MegumaGold Corp.

MegumaGold is a Canadian junior gold exploration company engaged in the business of

acquiring, exploring and developing natural resource properties. Since 2018 the Company has

centered its exploration focus on the developing Meguma Supergroup gold play of Nova Scotia.

As a result, the Company has assembled a strategically-positioned land position of 107,114

hectares within this promising geological domain.

For more information, please contact

Mr. Regan Isenor, Chief Executive Officer

902-233-4381

info@megumagold.com

www.megumagold.com

Forward-Looking Statements

All statements in this presentation, other than statements of historical fact, are "forward-looking

information" with respect to MegumaGold within the meaning of applicable securities laws including,

without limitation economic estimates and any statements related to estimated mining costs.

MegumaGold provides forward-looking statements for the purpose of conveying information about

current expectations and plans relating to the future and readers are cautioned that such statements

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be correct and that objectives, strategic goals and priorities will not be achieved. These risks and

uncertainties include but are not limited to exploration findings, results and recommendations, as well as

those risks and uncertainties identified and reported in MegumaGold’s public filings under its SEDAR

profile at www.sedar.com. Although MegumaGold has attempted to identify important factors that

could cause actual actions, events or results to differ materially from those described in forward-looking

information, there may be other factors that cause actions, events or results not to be as anticipated,

estimated or intended. There can be no assurance that such information will prove to be accurate as

actual results and future events could differ materially from those anticipated in such statements.

MegumaGold disclaims any intention or obligation to update or revise any forward-looking information,

whether as a result of new information, future events or otherwise unless required by law.

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accepts responsibility for the adequacy or accuracy of this release.